Military expert: export of Ukrainian arms to the world market can grow up to $3 billion a year

Sunday, October 8, 2017 7:00:00 PM

According to Ukrainian Center for Army, Conversion and Disarmament Studies (CACDS), the volume of Ukrainian arms exports to the global market can grow from the current 770 million dollars to 2-3 billion dollars, writes Valentin Badrak, director of the CACDS in his article for ZN.UA.

According to the author, although state concern Ukroboronprom believes that Ukraine does not have the end products for such deliveries, the flexible private sector can produce them very quickly, expanding both internal cooperation and international projects.

At the same time, Ukraine will stop losing revenue due to the manufacturing being transferred abroad. "I know at least four enterprises that are consciously developing production in foreign countries because they cannot conduct adequate foreign economic activity in Ukraine. And this is impacting the manufacture of radar detection devices, unmanned aircraft defense systems, and radio intelligence ... Until there are changes, critical technologies and profits from their sales will be leaving the country," the expert said.

However the goal is not to stop using Ukrspetsexport (Ukrainian state-owned arms trading company) services and their marketing system, but to acquire the right to choose: if a special export company provides favorable conditions, they are accepted, if the enterprise itself finds a buyer, it should be able to proceed without an intermediary.

"We should not be concerned with the risks of unauthorized deliveries or loss of quality, no one is in favor of abolishing the supremacy of the Commission on Military Technical Cooperation and Export Control under the National Security and Defense Council of Ukraine in making political decisions. No one opposes the authority of the State Service of Export Control. At the same time Ukroboronprom will rid itself of regulatory functions that are not typical for the economic structure. And the foreign customer himself is perfectly capable of dealing with quality issues," the director of the CACDS noted.